Investigation finds some tax-exempt properties that should be paying taxes

A bank branch. A phone store. A restaurant. All of them are clearly for-profit businesses, but all of them are situated in buildings that are not paying property taxes.

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Updated: 6:10 PM EST Feb 20, 2017

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WEBVTT HAVE TO PAY UP.>> WHEN PROPERTY OWNERS DON'T PAY TAXES, THAT MEANS THE REST OF U HAVE TO PAY MORE.WE FOUND CASES WHERE A MAJOR NONPROFIT, THE UNIVERSITY OF PITTSBURGH, AND THE STATE OF PENNSYLVANIA ARE NOT PAYING TAXES THEY MAY HAVE TO.AT THE SAME TIME, THE COUNTY IS TRYING TO FORCE A SMALL VOLUNTEER FIRE DEPARTMENT TO GIVE UP ITS TAX EXEMPTED STATUS.>> A BANK BRANCH, A PHONE STORE,A RESTAURANTALL OF THEM CLEARLY FOR PROFIT BUSINESSES.BUT ALL OF THEM IN BUILDINGS THAT ARE NOT PAYING PROPERTY TAXES.THAT'S THE WAY IT WORKS OVER HERE AT THIS THE STARBUCKS WHICHIS IN A BUILDING OWNED BY PIT BUT IT'S NOT THE WAY IT WORKS ATTHIS BUILDING WHICH IS ALSO OWNED BY PIT.THAT'S A PIT DORM WHERE THE PNC BRANCH AND AT&T STORE ARE LOCATED.IT I COMPLETELY TAX EXEMPT.THIS PANERA RESTAURANT -- RECORDS SHOW NO PROPERTY TAXES ASSESSED HERE EITHER.ACTION NEWS INVESTIGATES ASKED AFORMER COUNTY TAX ASSESSOR ABOUTTHIS.>> UNDER MOST CIRCUMSTANCES, THERE SHOULD BE AT LEAST SOME TAXES PAID.RIGHT?>> YOU WOULD THINK SO. >> ALLEGHENY COUNTY'S TOP LAWYEDEGREES. >> IF YOU'RE EXEMPT BUT THERE'S A FOR PROFIT PURPOSE IN THERE YOU'RE HELD TO THE SAME STANDARDWITH REGARD TO USING A PORTION OF YOUR PARCE FOR PROFIT PURPOSES. >> YOU HAVE TO PAY THE PIPER. >> YES.A SPOKESPERSON SAYING ONLY -- ASFOR THE STATE OWNED BUILDING, THE AUDITOR GENERAL SAYS HE'S NOT SURE WHY IT'S TOTALLY TAX FREE. >> IF THERE IS A STATE OWNED BUILDING THAT'S NOT PAYING THE APPROPRIATE REVENUE TO THE CITY AND COUNTY AND THE SCHOOL DISTRICT, THAT'S A CONCERN AND SOMETHING WE'LL LOOK AT FURTHER.>> THE COUNTY SAYS IT DID NOT DROP THE BALL BY FAILING TO PROPERLY ASSESS THE OAKLAND PROPERTIES. >> DOES IT SURPRISE YOU THAT WE FOUND THAT?>> NO.I DON'T THINK THERE WAS A MME -- SO FAR THE COUNTY HAS FOUND 304 PROPERTIES WORTH A TOTAL OF $108 MILLION AND P THEM BACK ON THE TAX ROLES.THAT ADDS UP TO MILLIONS OF DOLLARS IN CITY, SCHOOL, AND COUNTY TAXES.ONE PROPERTY MOVED BACK UNDER THE TAX ROLLS IS THIS PARKING LOT OWNED BY PIT JUST TWO BLOCKSFROM THE DORM.THIS IS ANOTHER COUNTY PROPERTY NOW ON THE TAX ROLLS, THE VOLUNTEER FIRE DEPARTMENT.>> YOU SAW THAT, WHAT DID YOU THINK?>> KIND OF ASTONISHED. >> THE CHIEF SAYS THE DEPARTMENTIS MORE THAN 100 YEARS OLD AND IT WAS ALWAYS TAX EXEMPT BUT TWOYEARS AGO HE STARTED GETTING THESE TAX BILLS AND EVEN THREATSTHAT HIS DEPARTMENT COULD FACE COURT ORDERED LIENS FOR NONPAYMENT. >> WE'VE ALWAYS BEEN TAX EXEMPT AND NEVER CHANGED OUR STATUS OR THE KIND OF BUSINESS WE DO.SO TO SUDDENLY B -- THAT'S BECAUSE THE COUNTY SENT THE FORMS HERE, A CARNEGIE BUILDING THAT SOMEHOW GOT LISTED AS THE -- >> ALL THESE LETTERS WERE GOING TO AN ADDRESS IN CARNEGIE AND SITTING IN A MILK CRATE. >> THE COUNTY SAYS TOO BAD.IT'S UP TO PROPERTY OWNERS TO MAKE SURE THE COUNTY HAS THE RIGHT ADDRESS. >> IF YOU'RE NOT GETTING A TAX BILL AND YOU'RE TAX EXEMPTS, HOWWOULD YOU KNOW?>> THAT'S RIGHT.THEY MIGHT NOT HAVE KNOWN THAT.THAT'S WHY DO YOU THIS PROCESS SO PEOPLE LIKE THAT GET TO NOTICE. >> THEY DID GET NOTICED BY COUNTY EXECUTIVE RICH FITZGERALDIN 2011 WHEN HE USED THE FIRE TRUCKS IN THIS CAMPAIGN AD BUT NOW THE DEPARTMENT HAS TO HIRE ALAWYER TO FIGHT THE COUNTY TO GET BACK ITS TAX EXERTION. >> I DON'T KNOW HOW WE'RE GOING TO AFFORD TO HIRE AN ATTORNEY FIGHT A COMPUTER ERROR. >> THE COUNTY TELLS ME IT'S INVESTIGATING THE TWO PROPERTIES.IT WILL ALSO CONTINUE LOOKING ATOTHER LARGE NONPROFITS TO SEE IF

Investigation finds some tax-exempt properties that should be paying taxes

A bank branch. A phone store. A restaurant. All of them are clearly for-profit businesses, but all of them are situated in buildings that are not paying property taxes.